Liche Company Reported Net Income of $54000 in 2016 and $80000

question 63

Essay

Liche Company reported net income of $54000 in 2016 and $80000 in 2017. However ending inventory was overstated by $6000 in 2016.
Instructions
Compute the correct net income for Liche Company for 2016 and 2017.

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Definitions:

CFCs

Chlorofluorocarbons, man-made chemical compounds used in aerosols, cooling devices, and as solvents, which have been found to deplete the ozone layer.

Montreal Protocol

An international treaty designed to protect the ozone layer by phasing out the production of numerous substances believed to be responsible for ozone depletion.

CFCs

Chlorofluorocarbons, a class of chemical compounds used in refrigeration and aerosols, which have been found to deplete the ozone layer.

Ozone Hole

A depletion of the ozone layer in the Earth's stratosphere, particularly over the Antarctic, caused primarily by human-made chemicals.